A Taxing Question... Literally!

[UTCVenturesLtd]

There is no tax savings by incorporating for flipping properties. I was wondering if there are some levels of deductions like your personal tax rate or are your profits taxed to the maximum rate? I have one flip likely to be sold soon and figure that this would be a good time to invest the profits in more tools and a new vehicle rather than the PM`s pocket.

 

[GarthChapman]

If handled personally you are taxed at your marginal rate (next dollar of income).

 

[Thomas Beyer]

QUOTE (UTCVenturesLtd @ May 6 2009, 08:26 PM) There is no tax savings by incorporating for flipping properties. I was wondering if there are some levels of deductions like your personal tax rate or are your profits taxed to the maximum rate? I have one flip likely to be sold soon and figure that this would be a good time to invest the profits in more tools and a new vehicle rather than the PM`s pocket.
you get a small business tax rate that is lower .. up to $500,000/year in income ..